Credit Card Fraud is a Bigger Problem Than You Think

Fri, Aug 29, 2008 at 7:00:00 am PDT

Labor Day weekend is almost here, and for me that means it’s time to take my annual vacation. Yes, I’m one of those “end of summer” vacationers. I like being a tourist when everyone else has gone home.

This year’s vacation is a last minute trip, so about a week ago I sat at my desk with credit card in hand and the intention of booking airfare, a hotel room and event tickets in quick succession when I had a few free minutes. In that moment, identity theft was the furthest thing from my mind. But, it wasn’t the furthest thing from my bank’s mind.

I booked the airfare with no problem. But when I went to the next website (hotel) the purchase screen kept giving me an error message. More specifically, it was telling me that the card verification numbers on the back of my card didn’t match the numbers my bank had on file. After about five failed attempts, I called the booking agency in exasperation. Although nice, that lady couldn’t help me either due to a “card error”. About that time my bank called.

Sure enough, they were verifying that it was really me attempting to make successive sizeable purchases. Apparently, my speed-booking raised a red flag for them. The gentleman on the phone was very kind and helpful, and after answering some questions that proved I am who I say I am (I called him back to make sure I wasn’t giving my info to an identity thief) he kindly authorized my card to make the necessary purchases to book the remainder of my vacation.

My initial annoyance with not being able to book a five-day vacation in a 10-minute window quickly dissipated when I realized my bank was simply trying to protect me from credit card fraud. “Travel agent on steroids” didn’t match my spending profile (thankfully) and they noticed. And they noticed while it was happening, not after the fact. How fabulous is that?

Having some type of service that monitors your credit cards is an absolute necessity in this world. Some banks, like mine, have come a long way in terms of what they offer. While many credit cards now come with some type of service, there are still countless debit cards that remain completely exposed to checking account fraud. And that is significantly more dangerous.

With holiday shopping just around the corner, it would be a really good idea to check with your bank to see what they can offer you. If it’s not satisfactory now would be a great time to invest in ID Secure. Take an extra 15 to 20 minutes today and make sure you aren’t vulnerable to credit or debit card fraud. With between 9 and 10 million people being victimized by identity theft a year, now is really not the time to take an unnecessary risk with your identity.